Buy-sell strategies for business succession are designed to help business owners plan for future contingency events that may impact their ability to meet their long-term financial goals. A funded buy-sell agreement is an essential planning tool to help enhance the stability and financial value of a closely held business.
Benefits of a properly funded buy-sell agreement from Principal:
- Provide departing owners a market and price for an asset that might otherwise be hard to sell.
- Permit remaining owners to prevent an unqualified individual from acquiring an interest in the business.
- Minimize business disruptions resulting from disagreements among owners at various triggering events.
- Provide assurances to employees, customers, suppliers and creditors that the business will remain strong through owner(s) transitions.
- Help owners use their business as a source of retirement income. View infographic (PDF) (BB11378) and read brochure (PDF) (BB11382).
Get started by reviewing Insurance-Related Best Practices (PDF) (BB11258). Then, learn about the three most common buy-sell options using Buy-Sell Quick Reference Guide (PDF) (BB9090) – which outlines the three more common buy-sell options: Cross Purchase, Entity Purchase and Wait and See.
View Solutions below for more details about each strategy to choose the one that will be best for your client.
- Cross Purchase Buy-Sell
- Entity Purchase Buy-Sell
- Multi-Owner Buy-Sell
- Select Buy-Out PlanSM
- Business Continuation General Partnership/LLC
- Sole Owner Transition Plan
- No Sell Buy-Sell
- One Way Buy-Sell
- Short-Year Election
- How it works (one-page overview) – BB11409
Key materials listed in the Solutions section above and below. Refer to the Advanced Marketing Sales Library for more information from Pentera Group, Inc. on advanced marketing topics.
Buy-Sell Agreement & Retirement Infographic (BB11378)
Visually demonstrates the importance of an effective buy-sell agreement when a business owner intends to use the business for retirement.
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Access a variety of sample agreement templates to share with clients.
View sample agreements